If an MRI machine has an appraisal cost of $6,250, a historical cost of $2,785, and a depreciation expense of $96, what is its restated depreciation expense (1 point)?
In: Accounting
Cost of quality includes all of the following EXCEPT:
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Cost of the design and planning of a quality control program. |
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Cost of the direct appraisal and evaluation of quality in the plant and the field. |
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Cost related to the failure of the product or service discovered by the performing organization while the item(s) is still within its control, or discovered by the customer |
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Cost of operating computers required for the project. |
In: Operations Management
If a firm has a total fixed cost of $75 and an average variable cost of $35 for producing 10 units of output, the average total cost would be:
If a firm has an average total cost of $55 and an average fixed cost of $10 for producing 5 units of output, then the total variable cost will be:
In: Economics
From the following, calculate the cost of ending inventory and cost of goods sold for the weighted-average method, ending inventory is 56 units. (Round your intermediate calculations and final answers to the nearest cent.)
| Beginning inventory and purchases |
Units | Unit cost | |||
| January 1 | 6 | $ | 2.70 | ||
| April 10 | 9 | 3.20 | |||
| May 15 | 13 | 3.70 | |||
| July 22 | 14 | 3.95 | |||
| August 19 | 19 | 4.70 | |||
| September 30 | 19 | 4.90 | |||
| November 10 | 33 | 5.10 | |||
| December 15 | 15 | 5.50 | |||
cost of ending inventory?
Cost of good sold?
In: Accounting
From the following, calculate the cost of ending inventory and cost of goods sold for the LIFO method, ending inventory is 54 units. (Round your answers to the nearest cent.)
| Beginning inventory and purchases |
Units | Unit cost | |||
| January 1 | 6 | $ | 1.00 | ||
| April 10 | 9 | 1.50 | |||
| May 15 | 13 | 2.00 | |||
| July 22 | 14 | 2.25 | |||
| August 19 | 19 | 3.00 | |||
| September 30 | 19 | 3.20 | |||
| November 10 | 33 | 3.40 | |||
| December 15 | 15 | 3.80 | |||
| Cost of ending inventory | $ |
| Cost of goods sold | $ |
In: Accounting
Calculate the cost of goods sold and the cost of the ending inventory using the LIFO periodic cost flow assumption.
Sales 97 units at $ 18 per unit
Beginning inventory 88 units at $ 6 per unit
Purchases 58 units at $ 10 per unit
Calculate the cost of goods sold using the LIFO periodic cost flow assumption. Units x Cost per Unit = Total Cost Units from beginning inventory x = Units from purchase x = Cost of Goods Sold - LIFO method Calculate the cost of the ending inventory using the LIFO periodic cost flow assumption. ?(Enter 0's for any layers where there were no units? sold.) Units x Cost per Unit = Total Cost Units from beginning inventory x = Units from purchase x = Ending Inventory - LIFO method
In: Accounting
Claim: The average cost to repair washing machine A is the same as the average cost to repair washing machine B. Test at α = 0.1 Data: A sample of 24 washing machine A’s have an average repair cost of $208 and a standard deviation of $22. A sample of 26 washing machine B’s have an average repair cost of $221 and a standard deviation of $19. Assume that the population standard deviations for repair costs are the same for each (a) Are these data statistically significant evidence to support the claim? (b) Are these data statistically significant evidence to refute the claim?
In: Statistics and Probability
In your analysis of the cost of capital for an ordinary share, you calculate a cost capital using a dividend discount model that is much lower than the calculation for the cost of capital using the CAPM model.
1. Explain <using max 50 words> possible sources for the discrepancy.
In: Accounting
Which of the following statements is CORRECT?
a. A sunk cost is any cost that must be expended in order to complete a project and bring it into operation.
b. A sunk cost is a cost that was incurred and expensed in the past and cannot be recovered regardless of whether the project is accepted or rejected.
c. A sunk cost is any cost that was expended in the past but can be recovered if the firm decides not to go forward with the project.
d. Sunk costs were formerly hard to deal with, but once the NPV method came into wide use, it became possible to simply include sunk costs in the cash flows and then calculate the PV.
A company is considering a proposed new plant that would increase productive capacity. Which of the following statements is CORRECT?
a. In calculating the project's operating cash flows, the firm should notdeduct financing costs such as interest expense, because financing costs are accounted for by discounting at the WACC. If interest were deducted when estimating cash flows, this would, in effect, “double count” it.
b. Since depreciation is a non-cash expense, the firm does not need to deal with depreciation when calculating the operating cash flows.
c. When estimating the project’s operating cash flows, it is important to include both opportunity costs and sunk costs, but the firm should ignore the cash flow effects of externalities since they are accounted for in the discounting process.
d. Capital budgeting decisions should be based on before-taxcash flows.
Clemson Software is considering a new project whose data are shown below. The required equipment has a 3-year tax life, after which it will be worthless, and it will be depreciated by the straight-line method over 3 years. Revenues and other operating costs are expected to be constant over the project's 3-year life. What is the project's Year 1 cash flow? Show work.
Equipment cost (depreciable basis) $80,000
Straight-line depreciation rate 33.333%
Sales revenues, each year $70,000
Operating costs (excl. deprec.) $40,000
Tax rate 35%
a. $29,916.66 b. $28.666.56 c. $27,575.55 d. $28,833.24
In: Finance
when determining the cost of manufacturing a product, whay considerations are included in the cost?
In: Economics